-
.
- Ελληνικά
Cyprus' insularity for energy and farmers' costs - the tensions for investment aid for SMEs and the purpose of investment for large companies priority of the State Aid Controller at the HighLevel[/I]Forum[/I]
The State Aid Controller Ms Stella Michaelidou announces that her Office participated in the High Level Forum on 3 June 2024 in Brussels. The Forum is held by the European Commission on an annual basis, with the aim to announce policies, rules and measures in the field of State Aid based on the experience gained by the European Commission and Member States from the implementation of the rules and developments/challenges in the EU economy and at international level.
The High Level Forum was attended by Mr Bernardus Smulders, Deputy Director General of the Directorate-General for Competition, and Ms Margethe Vetsager, Vice-President of the European Commission and Commissioner for Competition.
Representing Cyprus, our Office participated in the High Level Forum with Mr. Ioannis Ioannou, Officer of the Office.
As an Office we highlighted, in the energy sector, the energy isolation of Cyprus, due to its insular nature which implies high energy costs in relation to the energy dependence on fossil fuels, the absence of adequate energy storage and natural gas infrastructure, the transport costs associated with the distance and insularity of Cyprus, as well as the low penetration - contribution of Renewable Energy Sources (RES) in the energy mix of Cyprus. We stressed that these particularities should be taken into account in the design of rules and the implementation of measures in the field of State aid.
Based on the experience of the Office, the following issues were strongly raised:
[*]The need to increase the aid intensities in the General Exemption Regulation for investment aid, since the existing aid intensities constitute a disincentive for enterprises, [*]the coverage of large enterprises for investment aid for initial investments beyond the start of a new economic activity, [*]the need to increase the aid intensities in the General Exemption Regulation for investment aid, since the existing aid intensities constitute a disincentive for enterprises, [*]the coverage of large enterprises for investment aid for initial investments beyond the start of a new economic activity, [*]the need to increase the aid intensities in the General Exemption Regulation for investment aid.
Our Office did not fail to mention that more emphasis should be placed on the green and digital transformation of European SMEs, the need for increased legal certainty and more transparency to compensate for the decentralisation of the application of rules and the point that State aid rules only regulate a level playing field within Europe without also ensuring a level playing field for European industry in global competition.
(AF/GC)
Contents of this article including associated images are owned by PIO
Views & opinions expressed are those of the author and/or PIO
Source
